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#2: 0.625% Oct-50

GILT AUCTION PREVIEW
  • Tomorrow will also see GBP2.00bln of the 0.625% Oct-50 gilt on offer.
  • This is a slightly larger auction size than seen for the gilt at its most recent auction on 23 October when GBP1.75bln was on offer (although GBP1.99bln nominal was issued when including the PAOF proceeds). The two prior auctions were for the same GBP2.00bln on offer this week, however.
  • After very strong demand for the syndicated launch in June, there were a couple of weak auctions of this gilt in July but since then bid-to-covers have ranged from 2.09-2.24x and tails from 0.2-0.5bp.
  • Like the 0.125% Jan-24 gilt, the 0.625% Oct-50 gilt will be on offer again on 8 December.
  • RESULTS: Results will be available shortly after the auction closes at 11:30GMT with a further GBP500mln nominal available to successful bidders through the PAOF.

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